Euronext Nv · EURONEXT:ENX
Euronext Nv — Q1 2024 Earnings Presentation
28 slides from Euronext Nv's earnings presentation, May 15, 2023
Slide 1: Euronext Q1 2024 results
Euronext Q1 2024 results Analysts call Published on 14 May 2024 at 5.45 pm CEST
Slide 2: Q1 2024 highlights, business review and financial review
1. Q1 2024 highlights 2. Q1 2024 business review 3. Q1 2024 financial review Stéphane Boujnah Giorgio Modica CEO and Chairman of the Chief Financial Officer Managing Board │2
Slide 3: Q1 2024 highlights
Q1 2024 highlights 1
Slide 4: Strong start of the year with record topline driven by strong organic growth
Strong start of the year with record topline driven by strong organic growth of Euronext’s diversified business model €401.9m €251.3m €1.58 Revenue and income, up +8.0% Adjusted EBITDA, up +15.0% Adjusted2) EPS, +15.0% 58% 62.5% €166.4m non-volume related1) revenue Adjusted EBITDA margin, +3.8pts Ne
Slide 5: Last step to complete the Borsa Italiana integration
Last step to complete the Borsa Italiana integration Successfully achieved milestones Last milestone March 2023 September 2023 November 2023 ✓ Migration of ✓ Phase 2 of BITA ✓ Euronext Clearing Borsa Italiana Optiq® migration and expansion to all cash markets to termination of third- Euronext market
Slide 6: Q1 2024 business review
Q1 2024 business review 2
Slide 7: Strong quarter driven by organic growth in non-volume-related business
Strong quarter driven by organic growth in non-volume-related business and solid diversified trading revenue Q1 2024 revenue and income Trading €138.4m Technology Solutions +7.4% 7% Listing & Corporate Services Advanced Data 14% Services 15% Post €104.8m Trade +11.5% Investor Services €401.9m Advanc
Slide 8: Confirmed leadership in listing in Europe in Q1 2024
Confirmed leadership in listing in Europe in Q1 2024 Revenue grew +5.5% driven by the strong performance of debt listing and of Euronext Corporate Services Sustained leadership in equity listing in Europe and in debt listing worldwide Revenue in €m 57.7 10 418 54.7 New equity listings Follow-on tran
Slide 9: Strong performance of non-volume related businesses
Strong performance of non-volume related businesses Advanced Data Services ▪ Revenue up +5.5% driven by increased demand for non-professional Revenue in €m usage and solid demand for fixed-income and power trading data Q1 2024 59.4 ▪ Continued traction from analytic products Q1 2023 56.3 ▪ Contempla
Slide 10: Strong diversified trading activities supporting trading revenue (1/2)
Strong diversified trading activities supporting trading revenue of €138.4 million (+7.4%) (1/2) Cash trading ▪ Revenue down -1.6% while ADV was down -9.2% reflecting a lower Revenue in €m volatility environment for equity trading Q1 2024 70.6 ▪ Average yield at 0.54bps, reflecting the benefits from
Slide 11: Strong diversified trading activities supporting trading revenue (2/2)
Strong diversified trading activities supporting trading revenue of €138.4 million (+7.4%) (2/2) Fixed income trading ▪ Record quarter with revenue up +34.5% driven by supportive Revenue in €m economic environment and volatility, and sustained level of issuance Q1 2024 35.2 ▪ MTS Cash ADV at €34.7 b
Slide 12: Strong performance of all Post-Trade activities
Strong performance of all Post-Trade activities Clearing – exc. NTI ▪ Strong quarter with revenue up +23.1% Revenue in €m ▪ First full quarter of revenue contribution from the expansion of Q1 2024 16.6 20.4 37.0 Euronext Clearing activities to European equities Q1 2023 12.2 17.8 30.0 ▪ Stronger comm
Slide 13: Q1 2024 financial review
Q1 2024 financial review 3
Slide 14: Q1 2024 adjusted EBITDA up +15.0% to €251.3 million
Q1 2024 adjusted EBITDA up +15.0% to €251.3 million in €m +41.2% 251.3 242.6 8.7 38.1 62.5% Adj. EBITDA 2.5 0.9 margin 31.1 171.8 €36.0m provision related to termination fee for clearing agreement in Q1 2023 Underlying costs down -2.0% Q1 2023 Revenue Cost variation FX impact Non- Q1 2024 Non- Q1 20
Slide 15: Q1 2024 adjusted net income at €164.2 million, up +11.7%
Q1 2024 adjusted net income at €164.2 million, up +11.7% in €m +44.8% 3.5 9.2 8.4 164.2 €139.7m Reported 21.6 24.5 Net Income 139.7 3.2 +44.8% 70.8 96.5 €164.2m Adjusted Net Income1) +11.7% €1.58 Adjusted EPS1) +15.0% Q1 2023 EBITDA D&A Net Results Income tax Share of Q1 2024 Total non- Q1 2024 adj.
Slide 16: Continued strong cash flow generation
Continued strong cash flow generation CASH FLOW GENERATION 318.2 Q1 2024 EBITDA to net operating cash flow conversion rate 242.6 Reported EBITDA impacted by: 186.1 184.6 ▪ Change in working capital related to Nord Pool and 171.8 166.4 Net operating cash flow Euronext Clearing CCP activities for +€18
Slide 17: Q&A
Q&A
Slide 18: Q&A - Speakers
Q&A - Speakers Stéphane Boujnah Giorgio Modica Anthony Attia Nicolas Rivard CEO and Chairman of the Chief Financial Officer Global Head of Derivatives & Global Head of Cash Equity & Managing Board Post Trade Data Services │ 18
Slide 19: Appendix
APPENDIX
Slide 20: Liquidity at end of Q1 2024
Liquidity at end of Q1 2024 in €m 2,154.4 600.0 13.2 3.1 1,554.4 16.3 0.3 10.1 5.5 2.1 6.6 1,406.8 184.6 €400m Targeted cash for operation Cash in Q4 Net Exc. Impact Net Net Capex Dividends Net Payment Acquisition Other, Cash in Q1 Undrawn Liquidity 2023, exc. operating of change (Purchase) paid to
Slide 21: Number of outstanding shares used for EPS computation
Number of outstanding shares used for EPS computation Following the rights issue that occurred on 29 April 2021, whose settlement occurred on 14 May 2021, the average outstanding number of shares (basic) to be used for EPS computation is provided below. For comparative purposes, average numbers of o
Slide 22: Adjusted EPS for Q1 2024
Adjusted EPS for Q1 2024 in €m unless specified otherwise Q1 2024 Q1 2023 Net income reported 139.7 96.5 EPS reported (€) 1.35 0.90 Adjustments of which revenues 0.0 0.0 of which Operating expenses exc. D&A (8.7) (46.8) of which Depreciation and amortisation (25.0) (22.9) of which Net financing expe
Slide 23: Q1 2024 income statement
Q1 2024 income statement In €m, unless stated otherwise % var The figures in this document have not been audited or reviewed by our external auditor. Q1 2024 Q1 2023 % var (like-for-like, constant currencies) Revenue and income 401.9 372.3 +8.0% +8.5% Listing 57.7 54.7 +5.5% +6.1% Trading revenue, o
Slide 24: Last twelve months income statement
Last twelve months income statement Q2 2023 Q3 2023 Q4 2023 Q1 2024 LTM reported Revenue and income 368.1 360.2 374.1 401.9 1,504.4 Listing 55.1 54.6 56.2 57.7 223.6 Trading Revenue 118.2 118.3 124.5 138.4 499.5 of which Cash trading 65.2 64.4 64.1 70.6 264.3 of which Derivatives trading 13.0 13.4 1
Slide 25: Balance sheet as at 31 March 2024
Balance sheet as at 31 March 2024 in € million 31 March 2024 31 December 2023 unaudited, in As at 31/03/2024 Non-current assets Property, plant and equipment 107.2 114.4 CCP clearing business assets Right-of-use assets 56.1 55.7 Goodwill and other intangible assets 6,069.8 6,108.2 CCP trading assets
Slide 26: Q1 2024 cash flows statement
Q1 2024 cash flows statement in € million Q1 2024 Q1 2023 Profit before tax 176.9 140.8 Adjustments for: - Depreciation and amortisation 45.6 42.6 - Share based payments 3.9 4.2 - Gain on sale of associate (11.4) - - Share of profit from associates and joint ventures - (3.3) - Changes in working cap
Slide 27: Disclaimer
DISCLAIMER This presentation is for information purposes only and is not a recommendation to engage in investment activities. The information and materials contained in this presentation are provided ‘as is’ and Euronext does not warrant as to the accuracy, adequacy or completeness of the informatio
Slide 28: Investor Relations
INVESTOR RELATIONS Aurélie Cohen, Chief Communications and Investor Relations Officer Clément Kubiak, Investor Relations Manager Judith Stein, Investor Relations Officer ir@euronext.com +33 1 70 48 24 27 www.euronext.com/en/investor-relations